Dubai will sign next month a partnership deal with US firm Intel Corp and German research institute IHP to build a $1.5-billion microchip factory in Germany, chairman of Emirates airline, Sheikh Ahmed bin Saeed Al Maktoum, was quoted as saying by the Gulf News Wednesday.
He said he was optimistic Intel and IHP would agree to a key condition that a sister plant would be built in Dubai.
"Representatives from all sides will meet in Dubai before the end of March to discuss the joint venture and sign it," Sheikh Ahmed told reporters.
"Our conditions are not crippling and we expect the other parties to agree to them."
German officials were quoted by the paper as saying that aside from public German cash, the Dubai government was also making a substantial but unspecified investment in the venture for which they would later be offered a stake in the project.
Sheikh Ahmed said the government was still discussing with Intel and IHP its stake in the project to build high-speed semiconductors for a range of mobile services, said the paper.
"We have not yet decided on the percentage of the stake nor our financial obligations," he added.
An official told the paper that Dubai has chosen to invest in the project because it hoped to use the technology in a high-tech venture around the Dubai Airport free trade zone.
The zone, which was set up in 1996, aims to attract more foreign firms with focus on technology-driven industries. The zone was expanded last year with the cost of $67 million, said reports – Albawaba.com
